Bitcoin - Is Another Drop Coming?

Apr 19

Bitcoin is showing a clear shift in structure on the daily timeframe, with multiple bearish patterns aligning.

After forming a double top near the highs, price broke down and lost a key horizontal support level, confirming weakness in market structure. This breakdown led to a strong impulsive move downward.

Following the drop, BTC formed a bearish flag, which resulted in another continuation leg lower. Currently, price is consolidating again within a rising channel, resembling a potential second bearish flag formation.

Key Points:

- Price is struggling below the 0.5 – 0.618 Fibonacci retracement zone, acting as resistance.
- The current upward move looks corrective, not impulsive.
- Structure suggests lower highs and continued selling pressure.

- If this pattern plays out, a breakdown from the current channel could trigger another leg down toward the strong support zone below (~55K–58K region).


Confirmation: Breakdown of the current rising channel
Invalidation: Strong breakout above the channel and reclaim of the 0.618 Fib level

Cheers
Hexa

Jun 4

Trade active

BTC dropped perfectly from the channel resistance and the Fibonacci Golden Zone.

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